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Why Restaurants Are So Fucked

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Re: Why Restaurants Are So Fucked

#411
post #399

Earlier quoted context omitted.

$15 CA is €9.50...The meal you describe would still cost more than that, maybe $20 CA & that would be the cheaper end of the spectrum (€7 Mittagsmenü, €3 wine, €1.5 espresso + 10% tip, then convert € to $CA). If you're in central business locations in Mitte or Charlottenburg it would be more than that. That said you have very cheap options for Turkish, Arab or Vietnamese food in other districts like Neukölln. One of…

Right, I was thinking USD so ~13€. For that you have a nice main, wine, and coffee in half the ethnic places of Berlin. Not in Mitte as you said though. As a side note, I don't know anyone actually tipping 10%. At this price range usually it's rounded to next full euro.

I try to tip at least 10-15% and in cash as the waiters for sure earn less than I do & honestly the extra Euro or 2 make 0 difference to a well compensated software developer.

Re: Why Restaurants Are So Fucked

#412

Earlier quoted context omitted.

That part seemed strange to me. According to people I know that have worked in food/beverage industry, the most expensive part of a cup of Coke at a movie theater or fast food restaurant is the actual cup itself. The liquid inside the cup costs pennies.

Syrup is cheap, water is cheap, C02 is cheap... for a fountain drink, you are indeed correct. The margins here are crazy. I assumed this vendor was selling bottled or canned soft drinks. Why that is, I couldn't say (just as I couldn't say why they're renting a dishwasher, why they're paying a linen cleaning service rather than purchasing a washing machine, etc...).

It’s very common to rent a dishwasher. High volume dishwashers break down all the time and need very regular servicing and cleaning. At every establishment I have been associated with (wine industry) I’ve been on a first name basis with my dishwasher service rep.

With linen, when you go through a big volume, it is infinitely easier to use a linen company than to do it yourself on site. You’d have to buy industrial washers, pay rent on space to keep them, know how to service them, pay staff to operate them, etc...

If you’re a large chain, perhaps you could bring those operations in house. If you’re tiny, you could do it yourself. But if you’re seeing over 100 guests a day, there’s no reason not to use service companies for these two examples.

Re: Why Restaurants Are So Fucked

#413
post #371

Earlier quoted context omitted.

My first boss said the ice was the most expensive part. But that just may have been his occasionally flakey ice machine.

Possibly because the machine costs a bit, the constant running costs, and maintaining of course as well. Also maybe because you don't want to use tap water...

As with my examples above (linen and dishwashing) ice machines are also notoriously difficult/expensive. They most certainly have to be cleaned & serviced regularly. When the Board of Health comes in, the ice machine is one the first places they look as it’s basically a invitation to a mold party without diligent cleaning.

Re: Why Restaurants Are So Fucked

#414
post #359

Earlier quoted context omitted.

how about this? https://medium.com/@joelleparenteau/wolfing-it-down-f703a3cf... "We are looking for people who love food and crave the experience of working in a restaurant that operates more like a tech startup — after all, that’s my background and we are backed by the Shopify founders." who craves the experience of working in a restaurant? wtf is wrong with that woman? it's a job and they enjoy it if the boss treat…

I crave the experience of working in a restaurant. I did full-stack back-of-house in busy kitchens and it sure beat sitting around pushing buttons all day. I just haven't been able to afford to do it for the past ten years because building web sites pays so much better.

> I crave the experience of working in a restaurant. I did full-stack back-of-house in busy kitchens and it sure beat sitting around pushing buttons all day. I just haven't been able to afford to do it for the past ten years because building web sites pays so much better.

Same, I'm an ex-founder in Fintech, I've worked for big multi-national corps, and have a background in Health Sciences. And the satisfaction you get the rare times things are 'good' in Kitchens is perhaps the most satisfying things I've even experienced in my entire Life. The comradery amongst your fellow cooks can be petty deep, my old team still keeps in touch with another during Corona and we're trying to help where ever we can. Its a sense of community that extends beyond one's Team, too. I personally have met lots of owners and cooks during these shutdowns and we often have conversations about the business and Life.

By contrast, I don't know my neighbors, and barely talk to my house mates.

The taxing part is the high stress, low pay, long hours, and a very precarious Life over all due to the widespread alcohol/drug abuse.

I've had to save up to come out of retirement from cooking after my time in Europe, too; I took it pretty far this time, I got to interview at SpaceX, did a week a the Mars Desert Research Station and worked at Kimbal Musk's flagship restaurant this last run.

So, while I wish I was at SpaceX right now the realities don't allow it and won't for an undetermined time, so upon reflection I'm pretty satisfied with my culinary career and think that I have done all I could and gone further then I realistically thought I ever could.

@Maxwell: Let me know you want to collaborate, I'd like to be able to work with someone who wants to return to the Kitchen.

Re: Why Restaurants Are So Fucked

#415
In what major city or urban area have restaurants been competing on price during the last two decades ? In fact the prices seem to have gone up consistently far above inflation with the dominant cost component being rent, local taxes and services.

Profitability is low because consumers reduce visit frequency and money spent per visit as the prices feel unjustified for value served even when priced at meager margins above cost, this in turn puts pressure on owners to make more money per-item further alienating consumers.

Re: Why Restaurants Are So Fucked

#416

Something's up. In Germany in a normal city I can get a döner the same size as the one in the photo for €3 ($3.50?). It's not sourdough nor high quality protein but that can't explain the $7.50 difference. Edit: as the commenter below reminded me, it's actually more like €4-5 but my point stands.

A good Döner in Berlin runs about €5, this restaurant is in Canada where CA$11 = €7. It's slightly more expensive than dirt-cheap Berlin, but it's hard to compete with dirt-cheap Berlin. Berlin is wonderfully cheap in every aspect. Most of the western world can't compete with that. Try having a similar Döner in Zürich and you'll be wishing for that $11.

And try any small German town and it will be cheaper.

Zurich being in Switzerland which has one of the highest costs of living in the world is not really a good comparison. It's like saying "beer in X is cheaper than in Norway" - it will nearly always be true ;)

Re: Why Restaurants Are So Fucked

#417
A competitive product is available in midtown ny for six dollars.

Key differences are - pita vs sourdough - street meat vs name brand meat - lower quality vegetables -served in a foil sheet vs a take out bowl - lower overhead since it comes from a cart usually operated by the owner - they use cans, not a dispenser system

Gourmet food is a luxury, and expecting people to pay higher margins during a time of wealth contraction will only work if she can change the narrative and position her German street meat as being entirely different than NY street meat.

I think she'll need to downgrade her product

Re: Why Restaurants Are So Fucked

#418

Something's up. In Germany in a normal city I can get a döner the same size as the one in the photo for €3 ($3.50?). It's not sourdough nor high quality protein but that can't explain the $7.50 difference. Edit: as the commenter below reminded me, it's actually more like €4-5 but my point stands.

A good Döner in Berlin runs about €5, this restaurant is in Canada where CA$11 = €7. It's slightly more expensive than dirt-cheap Berlin, but it's hard to compete with dirt-cheap Berlin. Berlin is wonderfully cheap in every aspect. Most of the western world can't compete with that. Try having a similar Döner in Zürich and you'll be wishing for that $11.

NYC is 4-7$ usd

Re: Why Restaurants Are So Fucked

#419

Earlier quoted context omitted.

A "bro culture" article written by a female entrepreneur who isn't from Silicon Valley… right. I think you need to check your prejudices. 1) plenty of restaurants don't sell alcohol, including it seems this one. she also had a point about how drinks aren't a great revenue generator given the price you can expect to charge in a fast-casual setting vs. the costs (higher than grocery stores) 2) how is the restauranteur'…

A woman can just as easily write a bro-culture article as a man, and you don't have to have worked in Silicon Valley to pick up on the culture. It's splashed all over the internet. If the article reads like bro culture, that's a valid observation, irrespective of the gender or background of the author.

I would have replied the same thing. Thanks.

Re: Why Restaurants Are So Fucked

#420

Earlier quoted context omitted.

Ref 3: 1. Prices in USD 2. Quotes Philly Mag. (Philladelphia?) 3. Mentions how generous tipping is required to help servers survive Yeah, of course one would assume it’s about US. I’m honestly very surprised if it isn’t.

Canada also uses (their own) dollars. (As do Australia and NZ among others.)

Some people use this knowledge to weasel out of bets.
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